Accelerator Pack 12.4– Product ... - Oracle Help Center · ORACLE FINANCIAL SERVICES ORACLE...

Accelerator Pack – Product Catalogue Page 1 of 15

ORACLE

FINANCIAL SERVICES

ORACLE FLEXCUBE Accelerator Pack 12.4 – Product Catalogue

Islamic Term Deposits


Table of Contents

Overview & Objective ...................................................................................................................................................... 3

Product catalogue ............................................................................................................................................................ 4

1 Mudarabah Term Deposit ................................................................................................................................. 4

1.1 Business Scenario .............................................................................................................................................. 4

1.2 Synopsis ............................................................................................................................................................. 4

1.3 Detailed Coverage ............................................................................................................................................. 4

1.4 Account class – IATDFX ..................................................................................................................................... 4

1.5 Rule Coverage - IPTD ......................................................................................................................................... 5

1.6 Product – IPTD................................................................................................................................................... 6

1.7 Additional Information ...................................................................................................................................... 6

2 Mudarabah Term Deposit with Sweep .......................................................................................................... 7

2.1 Business Scenario .............................................................................................................................................. 7

2.2 Synopsis ............................................................................................................................................................. 7

2.3 Detailed Coverage ............................................................................................................................................. 7

2.4 Account class – ISWPTD .................................................................................................................................... 7

2.5 Rule Coverage - IPTD ......................................................................................................................................... 8

2.6 Product – IPTD................................................................................................................................................... 9

2.7 Additional Information ...................................................................................................................................... 9

3 Islamic Term Deposit – with rate chart allowed ....................................................................................... 10

3.1 Business Scenario ............................................................................................................................................ 10

3.2 Synopsis ........................................................................................................................................................... 10

3.3 Detailed Coverage ........................................................................................................................................... 10

3.4 Account class - IATDFL .................................................................................................................................... 11

3.5 Rule coverage - IPFL ........................................................................................................................................ 11

3.6 Product – IPFL ................................................................................................................................................. 12

3.7 Additional Information .................................................................................................................................... 12

4 Islamic Term Deposit – Other maintenances ............................................................................................ 13

4.1 Pay-in parameter maintenance ...................................................................................................................... 13

4.2 Close mode for TD ........................................................................................................................................... 13

4.3 UDF maintenance ............................................................................................................................................ 13

4.4 Islamic weight maintenance ........................................................................................................................... 13

4.5 MIS class code maintenance ........................................................................................................................... 14


Overview & Objective

Islamic Deposit is based on the Shariah contract of Mudarabah. In Mudarabah, interest is not paid, instead

profits will be shared. This is similar to how venture capitalists invest in companies. They take a percentage

stake of the company in return for capital. All management resides with the startup / Mudarib. It provides

higher profit rate compared to normal saving account.

Islamic Term deposit module of FLEXCUBE supports processing of products like,

o Normal term Deposits

o Mudarabah Deposits

Options available to automate periodic processes such as :

o Accrual of term deposits

o Liquidation of term deposits on liquidation frequency defined

o Profit rate update to accounts after PDM

o Generation of advices

o Maturity processing and transfer of proceeds

Different types of profit products are supported like, Fixed and Floating rates.


Product catalogue

1 Mudarabah Term Deposit

This Mudarabah deposit has all the basic features that are needed for a retail customer to open a

deposit account. Each account which is a part of this offering contributes its balance maintained to

a Fund in order to get the profit.

1.1 Business Scenario

It allows opening Investment deposits accounts for a fixed period of time or term and is governed

by the Mudarabah contract with the bank.

Target audience / Beneficiaries: Individuals who wants to open an investment deposit account.

1.2 Synopsis

o Booking of deposit with fixed amount for fixed period

o Withdrawal is allowed before the end of the deposit term

o Profit sharing weightages are assigned based on the tenors, deposited amount and

profit payout period

o Cash reserve ratio is allowed

1.3 Detailed Coverage

o Accounts can be opened in GBP & KWD currency’s, as configured at IC product

o Deposits opened under this account class will, by default, have

Tenor as 5 months

Mudarabah profit rate of 10%

Maximum tenor of 5 years

Cash reserve ratio of 20%

Defer liquidation of 6 days

o Fund ID maintained for profit distribution

o Account will get closed on maturity

o Month end deposit is supported

o Maturity date will be adjusted to previous working day based on holiday treatment

o Deposits contribute in profit and profit will be paid out on defer liquidation days

1.4 Account class – IATDFX

Account Class –> Preferences

Account Type Deposits

Profit Charges Yes

Track Accrued Profit Yes

Profit Calculation Balance Basis Monthly average balance

Mudarabah Fund Id IAFD10042

Exclude from Distribution No

Cash Reserve Ratio 20


Account Class –> Deposits Account Details

Rollover No

Close On Maturity Yes

Allow Partial Liquidation Yes

Allow Partial Liquidation with Amount Block

Yes

Move Profit To Unclaimed No

Move Principal to Unclaimed No

Month end maturing deposit Yes

Repick account class tenor on rollover No

Rate Chart Allowed No

Holiday Calendar Branch holiday

Holiday Movement Previous working day

Movement across months Previous / next working day of same month

Month end deposit Yes

Adhoc holiday Generate advice

Applicable deposit tenor Original tenor

Profit sharing Yes

Minimum tenor 3 months

Default tenor 5 months

Maximum tenor 5 years

1.5 Rule Coverage - IPTD

IC Rule Features

SDE’s DEPOSIT_AMOUNT, DAYS, YEAR

UDE MUDARABAH_RATE

Rule Definition

Formula No Accrual Type Condition Result

1 Yes Book DEPOSIT_AMOUNT>0

(DEPOSIT_AMOUNT*DAYS*MUDARABAH_RATE)/(YEAR*100)

Account Class –> Deposits amount currency wise limits Currency Min amount Max amount

GBP 5000 50000000

KWD 1000 70000000


1.6 Product – IPTD

Product Features

Product Code IPTD

Description Fixed rate TD

Product Type Profit

Product Group IP

Product group description Profit and Charges

Deposit Y

Booking account type Profit

IC Rule IPTD

IC Rule description Deposit simple interest

Product Preference

Product Level Yes

Accrual Frequency Monthly

Payment Method Bearing

Liquidation cycle 3 months

Defer Liquidation Yes

Defer liquidation days 6

Liquidation at Month ends Yes

Back Value Recalculation Flag Yes

Start from account Opening No

Account Classes Mapping Account

class Currency

Special condition only

Rate change on profit Liquidation

Rate change on Rollover

Continue Variance on rollover

IATDFX GBP Yes No No No

IATDFX KWD Yes No No No

1.7 Additional Information

o Weight maintenance is done for Mudarabah fund id and Mudarib fee of 10% is

maintained

o Profit GL’s are maintained for the fund id


2 Mudarabah Term Deposit with Sweep

This Mudarabah deposit has all the basic features that are needed for a retail customer to open

a deposit account. Each account which is a part of this offering contributes its balance

maintained to a Fund in order to get the profit. The Sweep parameters when enabled facilitates

customer to use the TD account as Cover account for CASA account and if the balance

available in the linked CASA account is less than the debit amount, then it breaks the deposits

booked and sweeps in money to savings account.


It allows opening Investment deposits accounts for a fixed period of time or term and is governed

by the Mudarabah contract with the bank.

Target audience / Beneficiaries: Individuals who wants to open an investment deposit account.

2.2 Synopsis

o Booking of deposit with fixed amount for fixed period


o Sweep parameters sweep-in and reverse sweep-in are enabled at account class.

o Profit sharing weightages are assigned based on the tenors, deposited amount and

profit payout period

o Cash reserve ratio is allowed


o Accounts can be opened in GBP & KWD currency’s, as configured at IC product

o Deposits opened under this account class will, by default, have

Tenor as 5 months

Mudarabah profit rate of 10%

Maximum tenor of 5 years

Cash reserve ratio of 20%

Defer liquidation of 6 days

o Fund ID maintained for profit distribution

o Account will get closed on maturity


o Maturity date will be adjusted to previous working day based on holiday treatment

o Deposits contribute in profit and profit will be paid out on defer liquidation days

2.4 Account class – ISWPTD



Profit Charges Yes


Profit Calculation Balance Basis Monthly average balance

Mudarabah Fund Id IAFD10042



Cash Reserve Ratio 20


Rollover No

Close On Maturity Yes



Yes

Move Profit To Unclaimed No



Repick account class tenor on rollover No

Rate Chart Allowed No

Holiday Calendar Branch holiday

Holiday Movement Previous working day

Movement across months Previous / next working day of same month

Month end deposit Yes

Sweep Functionality Yes

Adhoc holiday Generate advice

Applicable deposit tenor Original tenor

Profit sharing Yes

Minimum tenor 3 months



2.5 Rule Coverage - IPTD

IC Rule Features


UDE MUDARABAH_RATE

Rule Definition





GBP 5000 50000000

KWD 1000 70000000


2.6 Product – IPTD

Product Features

Product Code IPTD

Description Fixed rate TD

Product Type Profit

Product Group IP


Deposit Y


IC Rule IPTD

IC Rule description Deposit simple interest

Product Preference

Product Level Yes

Accrual Frequency Monthly


Liquidation cycle 3 months







class Currency





IATDFX GBP Yes No No No

IATDFX KWD Yes No No No


o Weight maintenance is done for Mudarabah fund id and Mudarib fee of 10% is

maintained

o Profit GL’s are maintained for the fund id

o Sweep in is enabled at ISWPIN account class


3 Islamic Term Deposit – with rate chart allowed

This floating rate deposit has all the basic features that are needed for a retail customer to open a

deposit account. Profit rate is applied to deposits based on LDMM rate chart defined. Deposits

under this offering don’t contribute to profit sharing. Profits are paid to depositors based on the rate

chart defined based on account class, currency and tenor combination.


Depositors would enjoy variable profit rates for fixed period of time.

Target audience / Beneficiaries: Individuals or corporate who wants to open deposit account.

3.2 Synopsis


o Depositors will get returns on their investments

o Rollover with different tenor is supported


o Profit applicability based on LDMM rate chart


o Deposit can be opened in GBP, KWD and EUR currencies, as configured at IC product

o Deposits opened under this account class will, by default, have:

Tenor as 3 months

Rolled over on maturity date

Profit sharing as No

Rate chart allowed as Yes

o Account can be rolled over on maturity date with principal amount or principal + profit

based on user instructions

o Term Deposit Certificate generation as instrument is supported

o Maturity date will be adjusted to next working day automatically based on the holiday

treatment defined

o Continue variance on rollover is allowed

o TD rate codes – ISTDPFTGBP, ISTDPFTEUR and ISTDPFTKWD are maintained

and attached to profit rate UDE, MUDARABAH_RATE

o Profit will be applied to deposits based on the rate chart tenor in months, as

configured at account class


3.4 Account class - IATDFL



Profit Charges Yes


Profit Calculation Balance Basis NA

Mudarabah Fund Id No



Rollover Yes

Close On Maturity No



Yes

Move Profit to Unclaimed No


Repick account class tenor on rollover Yes


Rate Chart Allowed Yes

Rate chart tenor Months

Holiday Calendar Both branch and currency holiday

Holiday Movement Next working day

Movement across months Allowed

Adhoc holiday Change maturity date and advice

Applicable deposit tenor Deposit tenor

Profit sharing No

Minimum tenor 1 month



3.5 Rule coverage - IPFL

IC Rule Features


UDE MUDARABAH_RATE(UDE type – Rate code as rate)


GBP 5000 50000000

EUR 1000 95000000

KWD 500 70000000


Rule Definition




3.6 Product – IPFL

Product Features

Product Code IPFL

Description Rate chart allowed deposit

Product Type Profit

Product Group IP


Deposit Y


IC Rule IPFL

IC Rule description Rate chart allowed deposit

Product Preference

Product Level Yes

Accrual Frequency Daily


Liquidation cycle 1 month







class Currency





IATDFL GBP Yes No Yes Yes

IATDFL ITDFR

KWD Yes No Yes Yes

IATDFL ITDFR

EUR Yes No Yes No


o Issuer code TDDP is maintained and attached to stock catalog code

o Stock Catalog code TDCERT is maintained


4 Islamic Term Deposit – Other maintenances

Various maintenances to be done for TD are listed in this section.

4.1 Pay-in parameter maintenance

In case of pay-in through GL or Cash, the general ledger code needs to be maintained in pay-in

parameters screen. It is mandatory in case pay-in to term deposits is done through GL or cash.

The following pay-in types have been maintained

4.2 Close mode for TD

Close mode needs to be maintained, in case premature redemption of deposit accounts. In case

of premature redemption through modes like account, GL, the product maintained at the close

mode is used for processing the redemption. Following are the close modes maintained

Close mode Product

FT FTRQ

GL TDRG

4.3 UDF maintenance

UDF’s – ISTDUDF1 and ISTDUDF2 are attached to TD account creation screen.

4.4 Islamic weight maintenance

Islamic weights need to be maintained to apply profit rate on the entire investment to fund id

based on weightage. Weightage is defined for amount, tenor and profit payout frequency

combination. On profit distribution on defer liquidation days, weights are applied on investment

and individual profit is arrived. Following is the weight maintenance done for term deposit

account classes IATDFX & ISWPTD and fund id IAFD10042 combination,

Value Category Tenor Category PPO category

Amount slab Weight Tenor TD Weight Days Months Years Weight

10000 50 1 60 0 1 0 50

25000 55 2 65 0 3 0 55

50000 60 3 70 0 2 0 60

100000 65 5 75 0 4 0 66

350000 75 6 80 0 5 0 67

99999999 85 9 85 0 6 0 70

99 95 0 12 0 75

Branch Code GL Code Pay-in option

001 261300005 General ledger

001 261300004 Cash


4.5 MIS class code maintenance

MIS class code needs to be maintained and captured during funding the profit GL. MIS class

code, FUND Id is maintained and the fund ID, is attached to the class code.


Oracle Financial Services Software Limited

Oracle Park

Off Western Express Highway

Goregaon (East)

Mumbai, Maharashtra 400 063

India

Worldwide Inquiries:

Phone: +91 22 6718 3000

Fax: +91 22 6718 3001

www.oracle.com/financialservices/

Copyright © [2007], [2016], Oracle and/or its affiliates. All rights reserved.

Oracle and Java are registered trademarks of Oracle and/or its affiliates. Other names may be trademarks of their respective owners.

U.S. GOVERNMENT END USERS: Oracle programs, including any operating system, integrated software, any programs installed on the hardware, and/or documentation, delivered to U.S. Government end users are “commercial computer software” pursuant to the applicable Federal Acquisition Regulation and agency-specific supplemental regulations. As such, use, duplication, disclosure, modification, and adaptation of the programs, including any operating system, integrated software, any programs installed on the hardware, and/or documentation, shall be subject to license terms and license restrictions applicable to the programs. No other

rights are granted to the U.S. Government.

This software or hardware is developed for general use in a variety of information management applications. It is not developed or intended for use in any inherently dangerous applications, including applications that may create a risk of personal injury. If you use this software or hardware in dangerous applications, then you shall be responsible to take all appropriate failsafe, backup, redundancy, and other measures to ensure its safe use. Oracle Corporation and its affiliates disclaim any liability for any damages caused by use of this software or hardware in dangerous applications.

This software and related documentation are provided under a license agreement containing restrictions on use and disclosure and are protected by intellectual property laws. Except as expressly permitted in your license

agreement or allowed by law, you may not use, copy, reproduce, translate, broadcast, modify, license, transmit, distribute, exhibit, perform, publish or display any part, in any form, or by any means. Reverse engineering, disassembly, or decompilation of this software, unless required by law for interoperability, is prohibited.

The information contained herein is subject to change without notice and is not warranted to be error-free. If you find any errors, please report them to us in writing.

This software or hardware and documentation may provide access to or information on content, products and services from third parties. Oracle Corporation and its affiliates are not responsible for and expressly disclaim all warranties of any kind with respect to third-party content, products, and services. Oracle Corporation and its

affiliates will not be responsible for any loss, costs, or damages incurred due to your access to or use of third-party content, products, or services.

http://www.oracle.com/financialservices/

Date post:	25-Sep-2020
Category:	Documents
Upload:	others
View:	3 times
Download:	0 times

Accelerator Pack 12.4– Product ... - Oracle Help Center · ORACLE FINANCIAL SERVICES ORACLE...

Documents